Thoughts on Letting Bitcoin Go: Exiting the Perfect Trade

At the end of 2015, when Bitcoin reached its bottom after the recovery from the Mt.Gox pump, I made a plan: I wanted to buy as many Bitcoins as possible, because the major bear phase was over and the market was about to recover. I saw huge upside potential and told my wife about it. Also, I read about Wyckoff back then, realizing how perfectly well the Bitcoin market matches his description of the cycles markets move in. My initial idea was to go take a decent loan from the bank (we’ve had our first baby on our way, so we’d have good reasoning to ask for a loan), but decided to use our own money for speculative purposes, so we wouldn’t end up in debt if the trade goes wrong.

So, Bitcoin was at some 250€, and we decided to put some 20.000€ into Bitcoin which we would buy from bitcoin.de.

Since then, we’ve watched Bitcoin grow for quite some time. When it reached some 800€, I’ve had a weak moment, thinking I’ve made good gains and wouldn’t wanna risk losing them. I sold a part of my position, just to realize the real rally hadn’t even started yet when it approached 1000€ for the first time since Mt.Gox, so I decided to rebuy everything I sold at the next dip.

And that was exactly what I did, losing a bit more than 100€ per Bitcoin. Needless to say, this was totally fine, retrospectively, and I am glad that I did get an opportunity to correct my mistake. Because, let’s be honest, nobody wants to end up like Vinny Lingham, selling his BTC for cheap and having to do a shitcoin ICO to get back your BTC at others’ expense. 😉

Since then, I barely sold any Bitcoins, and I got to enjoy the results of the best financial decision I’ve made, so far. Including the Altcoin bull run we’ve had in 2016, I more than 25x’ed my initial investment, and I’m slowly starting to sell off parts of my much loved Bitcoins. The chart already shows perfect signs of the market going parabolic, with each subsequent leg up we get being even more nuts than the one before… just look at the monthly chart on tradingview.com and see for yourself!

Bitcoin monthly chart, 2011 – 2017

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The gains are massive… I’m aware of the fact that many people make way more, but the profits exceeded all my expectations by far! If anyone told me in 2016 that we’d have Bitcoin selling at 3000€ a piece, I wouldn’t have believed him, let alone 6550€.

This. Is. Nuts!

And still, whenever I hit the sell button, it just feels wrong. Plain and simple, death wrong. Bitcoin became something like an old friend to me, a companion I’ve grown accustomed to, and now, I should go tell him, “just go, I’m done with you”?

This feels wrong. For that reason, I will probably never sell all of my coins and always keep a few blocks worth of BTC in cold storage. I just can’t sell them all.

But some controlled selling, some profit taking after this sheer insane trade… it has to be the right thing to do.

What are your thoughts? Do you find it difficult to let go of your precious BTC? Do you #hodl4lyfe or are you more pragmatic about this? Leave me a comment!